Royal Mail modernisation pays off

[TrueBlueTerrier]

http://www.google.com/hostednews/ukpres ... _ieCr6A8GQ" onclick="window.open(this.href);return false;

The Royal Mail has increased its operating profit to £184 million in the first half of the current financial year despite a drop in revenues and fewer letters being posted.

Profits were up by 4%, or £7 million, in the six months to September, when deliveries in some parts of the country were hit by unofficial strikes.

The daily postbag averaged 72 million, down by three million from the previous year and 12 million fewer than in 2006.

Around 5,000 jobs were cut in the six-month period, bringing the total number to 60,000 since 2002 through voluntary redundancy or natural turnover.

Royal Mail said the continuing decline in post volumes, coupled with intensifying competition and the effects of the recession, had an impact on all its businesses.

But the group said the financial performance, along with some of the best quality-of-service figures on record, showed that modernisation of its letters business was working.

The modernisation sparked the unofficial disputes, followed by a series of national walkouts, which were halted following an agreement to hold further talks.

The company reported that it is two-thirds of the way through its modernisation plan, with more than £1.3 billion invested out of £2 billion due to be spent by 2011.

Chief executive Adam Crozier said revenues had fallen by £73 million over the six months, but profits were made in all four businesses - the Post Office, letters, Parcelforce and European parcels.

The Royal Mail, which was losing over £1 million a day in 2002, said traditional mail volumes fell by 8% during the six months because of the recession and growth in electronic communications.

[oypostie]

So mail fell by three million items to seventy two million items per day. Nowhere near 10% is it !!!

[not me]

all the managers have a pat on the back
all the posties keep going with the deep heat

[mailsort6]

'Royal Mail modernisation pays off'. Is someone having a laugh!!! the only modernisation I have seen is posties getting a pay freeze, posties being sacked/dismissed and disabled employees being kicked out on ill-health.

[norbert]

'Royal Mail modernisation pays off'. Is someone having a laugh!!! the only modernisation I have seen is posties getting a pay freeze, posties being sacked/dismissed and disabled employees being kicked out on ill-health.

[mjw]

The price of stamps went up 8-12% this year and are planned to go up a similar amount next year this is where the profit is coming from, it's nothing to do with modernisation.